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  • FIRST POST
    • Craigblack88
    • By Craigblack88 18th Aug 17, 8:52 PM
    • 1Posts
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    Craigblack88
    Can I stop being a guarentor?
    • #1
    • 18th Aug 17, 8:52 PM
    Can I stop being a guarentor? 18th Aug 17 at 8:52 PM
    My ex fianc! got an amigo loan with me being guarentor, since we broke up I have contributed more than I should have but she has now cancelled her DD and will not answer any phone call or message so I can find out what's going on. I am in the forces and have heard there is help out there but I'm not sure where to look? Any help would be great.


    Cheers
Page 1
    • Sparx
    • By Sparx 18th Aug 17, 9:07 PM
    • 763 Posts
    • 413 Thanks
    Sparx
    • #2
    • 18th Aug 17, 9:07 PM
    • #2
    • 18th Aug 17, 9:07 PM
    Nope, once the agreement is live you can't remove yourself as guarantor. Otherwise everyone would do that wouldn't they? Amigo as a business has already taken the risk and paid out, having you as a contingency should your ex-partner not pay...

    Now the usual scenario has happened, the bad payer on a high-interest rate loan has decided to not pay. She doesn't care and has no intention to pay. So Amigo quite rightly will now come to you asking to pay up!

    Absolutely daft these guarantor loans, you may as well take out a cheap loan yourself & give him the money if you didn't have it!
    • DCFC79
    • By DCFC79 18th Aug 17, 9:13 PM
    • 30,269 Posts
    • 19,148 Thanks
    DCFC79
    • #3
    • 18th Aug 17, 9:13 PM
    • #3
    • 18th Aug 17, 9:13 PM
    Would have been explained to you when you agreed to being a guarantor.

    Your now stuck with paying it unless you can afford to pay it off in 1 go.

    You could maybe try contacting her parents or friends asking if they have heard from her and get them to speak to her, not guaranteed to work though.
    Last edited by DCFC79; 18-08-2017 at 9:16 PM.
    Can people stop loaning money/being a guarator to family/friends, it rarely ends well and you lose out as your money is gone or you get shafted with being a guarantor.
    • jonesMUFCforever
    • By jonesMUFCforever 19th Aug 17, 12:59 PM
    • 24,173 Posts
    • 11,445 Thanks
    jonesMUFCforever
    • #4
    • 19th Aug 17, 12:59 PM
    • #4
    • 19th Aug 17, 12:59 PM
    Of course you can stop being a guarantor--------- just take a loan out in your name to repay Amigo in full then that's it.
    What goes around - comes around
    give lots and you will always receive lots
    • sourcrates
    • By sourcrates 19th Aug 17, 9:58 PM
    • 12,427 Posts
    • 11,833 Thanks
    sourcrates
    • #5
    • 19th Aug 17, 9:58 PM
    • #5
    • 19th Aug 17, 9:58 PM
    My ex fianc! got an amigo loan with me being guarentor, since we broke up I have contributed more than I should have but she has now cancelled her DD and will not answer any phone call or message so I can find out what's going on. I am in the forces and have heard there is help out there but I'm not sure where to look? Any help would be great.


    Cheers
    Originally posted by Craigblack88
    Hi,

    Firstly, thank you for your service I appreciate all you do for us !!

    Unfortunately if your ex has stopped paying her loan, then as guarentor, you are now responsible for those payments.

    The company will come after you for the money.

    You can get help and advice from one of the free debt charities in my signature, you may also want to contact SAFFA to see if they can be any help to you :

    https://www.ssafa.org.uk

    Good luck, any more help you need please feel free to ask.

    (Ex forces family)
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Legal advice see : http://legalbeagles.info/
    • Geoff1963
    • By Geoff1963 20th Aug 17, 12:10 AM
    • 1,056 Posts
    • 677 Thanks
    Geoff1963
    • #6
    • 20th Aug 17, 12:10 AM
    • #6
    • 20th Aug 17, 12:10 AM
    If the Amigo loan is paid off early, do you pay less than N x M where N is the Number of months left, and M is the monthly payment ?
    If so, you should get a ( cheaper ) loan yourself elsewhere. If not, ( like e.g. Brighthouse ) then paying it off early saves you nothing.

    A loan guarantor is rather like some one who posts bail for someone ; if they don't do as promised, the guarantor has to fork out.
    • Brains64
    • By Brains64 10th Nov 17, 8:45 PM
    • 203 Posts
    • 63 Thanks
    Brains64
    • #7
    • 10th Nov 17, 8:45 PM
    • #7
    • 10th Nov 17, 8:45 PM
    You are technically responsible if you signed the so-called contract but one thing I would point out which might help to ease your worries is that these loan companies are all skating on legal thin ice anyway as businesses, Guarantor or otherwise, Amigo are no exception, they are as dodgy as all the others, so when someone runs into debt with them, whether they have to deal with that person or their Guarantor, as per the thing they laughingly call a "contract" which could be picked apart by an expert Lawyer in minutes, they can't do as much as they would like you to think they can.

    All these lenders can do is phone the person or the Guarantor that they consider is responsible for the debt and send them letters, if that fails, eventually, they just sell the debt off to a debt collector who has got naff all legal power anyway, remember, they are all private companies, they are not proper Baliffs with any real legal power, they might come to your house but they can't force their way in, if you don't want to talk to them, they can't do a thing about it at that point, they CAN take it to court, sure but in all honesty, it's more trouble for them than it's worth, most won't bother, so all they can do is just keep phoning you or writing to you or visiting you every so often, they will probably try to make you a repayment offer or just threaten you with legal action etc if you don't get in contact with them about it.

    However, if you just don't respond, they themselves can't do a thing about it and if in the unlikely event, they do take you to court, the court won't consider it to be a big deal, it's not like Council Tax, this is just some meaningless private debt to them, they will probably just make a suitable arrangement for you to repay the debt, there's really nothing to fear accept fear itself, don't let these loan companies worry you, if anyone should be worried, it's them, because they are being slowly cracked down on, their days are numbered, it wouldn't surprise me if one day they will all be ordered to write off all debts because they are all so legally iffy anyway.
    • Herzlos
    • By Herzlos 10th Nov 17, 9:41 PM
    • 5,956 Posts
    • 5,417 Thanks
    Herzlos
    • #8
    • 10th Nov 17, 9:41 PM
    • #8
    • 10th Nov 17, 9:41 PM
    That's terrible advice - refusing to pay the loan will trash your own credit rating. Bailiffs can still be invoked from private debt after court approval.

    Unfortunately the only real solution is to take out a loan at a normal rate and pay off the Amigo loan. Will save you a fortune and let you clear it much faster.

    You can attempt to reclaim from the ex, but if her credit rating was so bad she needed a guarantor then she probably doesn't have any money to give you.
    • Shakin Steve
    • By Shakin Steve 10th Nov 17, 10:06 PM
    • 1,036 Posts
    • 759 Thanks
    Shakin Steve
    • #9
    • 10th Nov 17, 10:06 PM
    • #9
    • 10th Nov 17, 10:06 PM
    You are technically responsible if you signed the so-called contract but one thing I would point out which might help to ease your worries is that these loan companies are all skating on legal thin ice anyway as businesses, Guarantor or otherwise, Amigo are no exception, they are as dodgy as all the others, so when someone runs into debt with them, whether they have to deal with that person or their Guarantor, as per the thing they laughingly call a "contract" which could be picked apart by an expert Lawyer in minutes, they can't do as much as they would like you to think they can.

    All these lenders can do is phone the person or the Guarantor that they consider is responsible for the debt and send them letters, if that fails, eventually, they just sell the debt off to a debt collector who has got naff all legal power anyway, remember, they are all private companies, they are not proper Baliffs with any real legal power, they might come to your house but they can't force their way in, if you don't want to talk to them, they can't do a thing about it at that point, they CAN take it to court, sure but in all honesty, it's more trouble for them than it's worth, most won't bother, so all they can do is just keep phoning you or writing to you or visiting you every so often, they will probably try to make you a repayment offer or just threaten you with legal action etc if you don't get in contact with them about it.

    However, if you just don't respond, they themselves can't do a thing about it and if in the unlikely event, they do take you to court, the court won't consider it to be a big deal, it's not like Council Tax, this is just some meaningless private debt to them, they will probably just make a suitable arrangement for you to repay the debt, there's really nothing to fear accept fear itself, don't let these loan companies worry you, if anyone should be worried, it's them, because they are being slowly cracked down on, their days are numbered, it wouldn't surprise me if one day they will all be ordered to write off all debts because they are all so legally iffy anyway.
    Originally posted by Brains64
    I know it’s Friday night, but are you p**sed? Coming on a forum such as this and dishing out advice that that is very irresponsible. Money has been borrowed, from a legitimate loan company. A contract has been signed. Your opinion of the loan company is irrelevant. The OP risks ruining their future financial position by having their credit file trashed for six years.

    If you are so sure of your position, get your nearest and dearest to take out payday loans and you can act as guarantor. Then tell them not to pay because you’re not worried about them chasing you for the money.
    Brains 64. Is that the amount of cells?
    Last edited by Shakin Steve; 10-11-2017 at 10:09 PM.
    I came into this world with nothing and I've got most of it left.
    • DCFC79
    • By DCFC79 10th Nov 17, 10:17 PM
    • 30,269 Posts
    • 19,148 Thanks
    DCFC79
    I know it’s Friday night, but are you p**sed? Coming on a forum such as this and dishing out advice that that is very irresponsible. Money has been borrowed, from a legitimate loan company. A contract has been signed. Your opinion of the loan company is irrelevant. The OP risks ruining their future financial position by having their credit file trashed for six years.

    If you are so sure of your position, get your nearest and dearest to take out payday loans and you can act as guarantor. Then tell them not to pay because you’re not worried about them chasing you for the money.
    Brains 64. Is that the amount of cells?
    Originally posted by Shakin Steve
    OP hasnt been back since august, brains64 decided to drag up an old thread.
    Can people stop loaning money/being a guarator to family/friends, it rarely ends well and you lose out as your money is gone or you get shafted with being a guarantor.
    • Brains64
    • By Brains64 11th Nov 17, 5:40 AM
    • 203 Posts
    • 63 Thanks
    Brains64
    That's terrible advice - refusing to pay the loan will trash your own credit rating. Bailiffs can still be invoked from private debt after court approval.

    Unfortunately the only real solution is to take out a loan at a normal rate and pay off the Amigo loan. Will save you a fortune and let you clear it much faster.

    You can attempt to reclaim from the ex, but if her credit rating was so bad she needed a guarantor then she probably doesn't have any money to give you.
    Originally posted by Herzlos

    I know it’s Friday night, but are you p**sed? Coming on a forum such as this and dishing out advice that that is very irresponsible. Money has been borrowed, from a legitimate loan company. A contract has been signed. Your opinion of the loan company is irrelevant. The OP risks ruining their future financial position by having their credit file trashed for six years.

    If you are so sure of your position, get your nearest and dearest to take out payday loans and you can act as guarantor. Then tell them not to pay because you’re not worried about them chasing you for the money.
    Brains 64. Is that the amount of cells?
    Originally posted by Shakin Steve
    Show me where I told the OP to 'refuse to pay' the loan, that's not what I said, try actually reading what I said and understanding what I meant, if the OP wants to pay the loan back then, of course, they should, what I was trying to explain to them is that if the worst comes to the worst and they have difficulties keeping up with the payments, don't let it worry them, because there is only so much they loan company can do legally to recover the debt, no loan company uses REAL Baliffs, they use private debt collectors that try to act as if they are Baliffs but they are not, if they CLAIM to be real Court Baliffs or try to give the impression they are, ask to see their ID and check them out, I think you will find they are nothing of the sort.
    • Enterprise 1701C
    • By Enterprise 1701C 11th Nov 17, 8:22 AM
    • 18,169 Posts
    • 198,312 Thanks
    Enterprise 1701C
    I know this is an old thread but I can't resist.

    What would I do? I would put the fact that has stopped paying it all over social media, and I would contact everyone that knows her and tell them the same.
    What is this life if, full of care, we have no time to stand and stare
    • unforeseen
    • By unforeseen 11th Nov 17, 8:32 AM
    • 1,839 Posts
    • 2,336 Thanks
    unforeseen
    Not forgetting to following up with an MCOL claim
    • Richey_
    • By Richey_ 11th Nov 17, 8:40 AM
    • 262 Posts
    • 302 Thanks
    Richey_
    Brains has been watching Cant pay or we will take it away and is now an expert in this field.

    Personally I would advise people speak to a real expert not a keyboard warrior. Christians Against Poverty or Stepchange would be my recommendation
    • nic_c
    • By nic_c 11th Nov 17, 9:22 AM
    • 1,081 Posts
    • 615 Thanks
    nic_c
    Not forgetting to following up with an MCOL claim
    Originally posted by unforeseen
    ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

    This is the main concern and why it needs sorting. The OP is in the forces and cannot get a CCJ without him then losing his job. If it got as far as claims stage he would need to see if they would go down the Tomlin order route if he could not pay.

    Never be a guarantor for Amigo loans as worst of all cases, you are liable if the debtor does not pay and you are saddled with crap APR based on the debtors credit worthiness. As has been said, better to get a loan yourself and lend the money rather than be a guarantor. The thing is people won't do that because it then becomes clear that they are liable for repayment where as guarantor loans are all marketed as you helping a friend get the loan!!
    • societys child
    • By societys child 11th Nov 17, 10:33 AM
    • 4,801 Posts
    • 5,222 Thanks
    societys child
    guarantor loans are all marketed as you helping a friend get the loan!!
    Yup.
    Every time I see an Amigo ad, I think do people really fall for this . . .

    • unforeseen
    • By unforeseen 11th Nov 17, 11:00 AM
    • 1,839 Posts
    • 2,336 Thanks
    unforeseen
    ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^

    This is the main concern and why it needs sorting. The OP is in the forces and cannot get a CCJ without him then losing his job. If it got as far as claims stage he would need to see if they would go down the Tomlin order route if he could not pay.

    Never be a guarantor for Amigo loans as worst of all cases, you are liable if the debtor does not pay and you are saddled with crap APR based on the debtors credit worthiness. As has been said, better to get a loan yourself and lend the money rather than be a guarantor. The thing is people won't do that because it then becomes clear that they are liable for repayment where as guarantor loans are all marketed as you helping a friend get the loan!!
    Originally posted by nic_c
    You misunderstood. I was talking about OP raising an MCOL claim against the ex AFTER settling the debt. If they don't get the money from the ex then they have the satisfaction of trashing their credit rating, and, subject to the amount will have an option to escalate to the High Court.
    • qwert yuiop
    • By qwert yuiop 11th Nov 17, 11:30 AM
    • 2,089 Posts
    • 1,215 Thanks
    qwert yuiop
    Yup.
    Every time I see an Amigo ad, I think do people really fall for this . . .
    Originally posted by societys child
    Who travels on southern railway? Have you seen those ads on the carriages “Get back on track” advertising loans at 750% APR. They then have a little warning suggesting you’ll get into bother if you don’t pay. I’d say you’re in bother enough if you do pay.

    Get back on shark.
    • nic_c
    • By nic_c 11th Nov 17, 2:12 PM
    • 1,081 Posts
    • 615 Thanks
    nic_c
    Who travels on southern railway? Have you seen those ads on the carriages “Get back on track” advertising loans at 750% APR. They then have a little warning suggesting you’ll get into bother if you don’t pay. I’d say you’re in bother enough if you do pay.

    Get back on shark.
    Originally posted by qwert yuiop
    That's the problem, either they are aimed at those desperate to have no where else to go or financially naive as to not understand the implications of the high APR.
    There will probably be a reckoning at some point. We have had Wonga and then BrightHouse, and we had the toughening up of mortgage checks. There has been talk in political circles about limiting interest payable on a loan over the term. Maybe we will see some toughening on these, where liabilities have to be more prominent and consequences clearly spelled out
    • Brains64
    • By Brains64 11th Nov 17, 9:58 PM
    • 203 Posts
    • 63 Thanks
    Brains64
    Brains has been watching Cant pay or we will take it away and is now an expert in this field.

    Personally I would advise people speak to a real expert not a keyboard warrior. Christians Against Poverty or Stepchange would be my recommendation
    Originally posted by Richey_
    I agree, people should speak to experts, I would recommend this too, I'm not asking anyone to take my word for it, in fact, if you want to check with an expert yourself to see if this here "Keyboard Warrior" has said anything that isn't true, then be my guest but I am quite confident that you will find that they will just confirm what I have said here, namely, these types of loans are considered by courts to be low priority debts, which means, in the unlikely event they take someone to court for the debt, they are not taken very seriously by said courts.

    If it gets to that stage, the court will usually just get the debtor to come to a suitable arrangement, taking into consideration all of their circumstances but I say 'in the unlikely event' because most of these lenders won't want to go to court because it is too expensive for them and their debt collectors that they sell the debt too will take the same view, it's much better for them just to try various tactics to scare debtors into paying up or come to some arrangement.

    Important to remember, these lenders all utilize either private debt collectors or their own in house collection team NOT proper Baliffs (please feel free to check this with the experts too), so they have limited power in terms of what they can do to someone who for whatever reason, hasn't paid, once again, I'm not saying they shouldn't pay, if they are willing and able to pay then they should pay but if they can't, they shouldn't lose sleep over these potsy companies like Amigo Brighthouse and Wonga, they are all slowly heading for the cliffs themselves with their dogy avertising they use to entice and fool vulnerable people, like nic_c mentioned.

    If people want to worry about anything, they ought to worry about making sure they pay their rent or mortgage and their utility bills, those ARE top priority debts which courts CAN come down heavy on people for, but please don't lose freaking sleep over debts with these loan companies, they are run by a load of cowboys and two bit pirate types who are just trying to cash in on their customers desparation, fear and most of all, lack of understanding of their rights, if more people knew the law, these companies would be finished, as I say, check it out for yourself, don't take my word for it, best wishes.
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